In challenging economic times, technology is the backbone of a successful agency. And more agents are gettin g the message, according to a couple of recent surveys.
Fueled by the increased use of technology tools, agencies are working more efficiently. Recent surveys show that more than 90 percent of agencies use an agency management system in their office, and more than half of those tapped a real-time tool to start a service transaction.
But there’s always room for improvement, especially at small agencies—those with less than $150,000 in revenue. Just half have automated management systems, and that figure needs to increase for survival in today’s economy, says Jeff Yates, executive director of the Agents Council for Technology (ACT), part of the Independent Insurance Agents & Brokers of America.
He’s heard many agents voice concern about the technology price tag. “There’s no question that cost is a concern,” he notes. “On the other hand, the agency will get productive benefits from it. It’s an investment in the agency.”
That investment allows agencies to do more with less. The surveys revealed that technology tools reduced the workload of an average 11.2 employees to nine, allowing agencies to spend more time building client relationships. In turn, these workers have shaved 30-60 minutes off their work days by using real-time tools alone.
Jeff offers the following tips for agents looking to improve efficiencies through technology:
— Start at the strategic level. Understanding the technology and what it can do is critical for an agency manager. You’ll find plenty of free information on the ACT Web site at www.independentagent.com/act. Hot topics include business process best practices and information management, as well as how to enhance your bottom line with technology.
— Ready to buy? Do some comparisons on the ACT Web site, which lists dozens of products to fit individual agency needs and budgets.
— Fully use your agency management system including download, real time and other features that automate your processes. Agencies have used personal lines download for some time. Improvements continue to be made on commercial lines downloads, especially for small commercial business policies.
— Join the real time revolution. Jeff says availability of real-time tools is the No. 1 issue agents mention for improving efficiency. Visit www.getrealtime.org for information.
— Look for other ways to improve work flow. Maximize communication devices such as cell phones, handheld and other wireless devices, instant messaging and laptops to boost efficiency and sales.
— Have a strong Internet presence. Think about starting a blog to talk about risk management issues, such as fire safety and defensive driving. “That will demonstrate your value — why customers should come to you,” Jeff says.
— Attend meetings and Webinars held by your agency management system vendors and user groups to learn more about your system.
— Take advantage of time savings your technology provides by devoting more attention to services such as account rounding and renewals.
“Agents in soft markets and a tough economy can actually continue to grow,” says Jeff. “And they have more time to become trusted advisors to their customers.”
QBE Specialty Insurance provides distinct niche insurance coverages through the underwriting programs of QBE, the former Praetorian Financial Group and North Pointe Insurance Company. QBE Regional Insurance specializes in property and casualty insurance through subsidiaries General Casualty, Unigard, Farmers Union Insurance and QBE Agri.